Wed, May 7, 8:25 PM (5 days ago)
**Koru Medical Systems, Inc. (KRMD) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $9,635,075 (up 17.5% YoY) driven by core domestic (16.4%) and international (35.6%) business growth, offset by a 38.6% decrease in pharma services and clinical trials. - **Gross Profit:** $6,046,335 (up 18.5% YoY) with a gross margin of 62.8%. - **Operating Expenses:** $7,291,340 (up 3.2% YoY) due to increased SG&A expenses offset by decreased R&D expenses. - **Net Loss:** $(1,166,237) (improved by 39.8% YoY) due to increased gross profit and lower operating expenses. - **Cash Flow:** Net cash used in operating activities was $(237,467), primarily due to net loss and changes in working capital. **Key Metrics and Trends:** - **Revenue Growth:** Strong growth in core domestic and international markets, with a notable decrease in pharma services. - **Profit Margins:** Improved gross margin due to favorable product revenue mix. - **Operating Expenses:** Increased SG&A expenses due to compensation and legal fees, offset by decreased R&D spending. - **Cash Flow:** Negative cash flow from operations, primarily due to net loss and changes in working capital. **Future Operations and Uncertainties:** - **Tariffs and Trade Policies:** Potential impacts from new tariffs and trade restrictions, though not expected to materially affect revenues and costs. - **Liquidity:** Sufficient cash on hand ($8,735,834) and expected cash flows to meet requirements for the next twelve months. - **Capital Requirements:** May need to draw on credit facility or seek additional financing for future growth and strategic initiatives. **Management's Outlook:** - **Revenue Growth:** Continued focus on core domestic and international markets, with potential impacts from tariffs and trade policies. - **Operating Expenses:** Expectations of increased SG&A expenses due to compensation and legal fees, offset by decreased R&D spending. - **Cash Flow:** Negative cash flow from operations, with potential improvements from increased revenues and cost management. **Ticker:** KRMD